Ukraine: healthcare development through partnerships?

A dynamic health PPP agenda: what is the rationale?

Healthcare transformation in Ukraine is gaining significant momentum. The Ukrainian PPP agency announced at the end of January 2021 that pilot Public-Private Partnership projects would be rolled out in the healthcare sector, with talks engaged between Ministries of economy, health, and the world bank.

As a result a road map was drawn and specific projects identified, amongst which the strengthening of clinical emergency services in the Lviv hospital.

This led to a new project with the construction of a new building for the multidisciplinary hospital, the setting up and operation of diagnostic centres and radiotherapy centres. Oncology services are to benefit from this strengthening of clinical services. In addition to which the PPP aims at developing a range of ancillary services to improve service quality and patient experience.

The feasibility study for this ambitious project is rumoured to be scheduled for the end of 2021 while the tender should be announced during 2nd quarter 2022.

Many underlying questions will be of interest: is the market mature for blended finance or will these large complex contractual arrangements rely on the leverage and credentials of the IFC? Will the market be attractive to international investors? Will the projects create social and economic growth opportunities for the region? And of course, are public managers in a position to deliver value along the project’s lifecycle to the benefit of users?

Overall, will these projects be people-centred capital investment projects? Can they help fill the infrastructure gap, strengthen oncology services and deliver value for money?